Tag: Bankruptcy

CHARLOTTE, N.C. - Joerns Healthcare says the U.S. Bankruptcy Court for the District of Delaware has confirmed the Chapter 11 plan for the company and its domestic subsidiaries. Joerns expects to complete its restructuring and successfully emerge from bankruptcy over the coming weeks. The restructuring plan reduces the company's debt by more than $320 million, while providing up to $40 million of new financing to support its ongoing operations and continued investments. The plan also provides...

MIRAMAR, Fla. - A chunk of Univita Health's assets sold this week for $2.5 million. Just prior to a telephone auction on Nov. 11, the trustee for the provider's bankruptcy case accepted a bid from Integrated Home Care Investors. The assets include seven Florida locations, office equipment and furniture, supplies, HME inventory and a fleet of 90 vehicles. The sale is expected to close Nov. 16. The Miami-based Integrated Home Care is led by Jorge Pereda, a former CEO of All-Med Services of Florida,...

PORT ST. LUCIE, Fla. - Liberty Medical has filed a complaint with the U.S. Bankruptcy Court for the District of Delaware against Medco Health Solutions alleging that Medco engaged in “inequitable conduct” during Liberty management's buyout of Medco's then-subsidiary Polymedica, a transaction that included the Liberty business.Liberty's management alleges, among other things, that it was only after filling for bankruptcy that they learned that more than $42 million listed in accounts receivables...

ORLANDO, Fla. - Rotech Healthcare has stopped oxygen deliveries, except for first-time set-ups and emergencies, in West Virginia, according to a local TV station. The company is now requiring patients to go to the Elkview location to refill their tanks, WSAZ reports. Rotech told the TV station that the cutbacks in service are the result of restructuring due to its bankruptcy. Another provider in the area, Boll Medical in Charleston, told WSAZ that it still delivers oxygen to more than 60 patients...

ORLANDO, Fla. - Rotech Healthcare emerged from Chapter 11 bankruptcy Sept. 27, and it isn't looking back.The company plans to evolve with the industry, says CEO Steve Alsene.“Reimbursement and continued qualification of patients is more complicated,” he said. “That takes a lot of coordination and additional work nowadays. We are making sure we are good and tight, and making sure we get reimbursed for the services we provide.”Under the reorganization plan, approved in August,...

MOUNT VERNON, N.Y. - Landauer Metropolitan Inc. (LMI) will continue to operate businesses in nine states and accept new patients as it works with secured lender Quadrant Management to reorganize, the company announced Oct. 1. LMI hopes to emerge from Chapter 11 bankruptcy protection by the end of this year, according to the news release. It filed for bankruptcy in August, citing reduced revenue related to competitive bidding. Quadrant Management owns several HME suppliers in New Jersey, Pennsylvania...

MOUNT VERNON, N.Y. - Landauer Metropolitan Inc. (LMI) will continue to operate businesses in nine states and accept new patients as it works with secured lender Quadrant Management to reorganize, the company announced Oct. 1. LMI hopes to emerge from Chapter 11 bankruptcy protection by the end of this year, according to the news release. It filed for bankruptcy in August, citing reduced revenue related to competitive bidding. Quadrant Management owns several HME suppliers in New Jersey, Pennsylvania...

NEW BRAUNFELS, Texas - A bankruptcy court judge says The Scooter Store may sell its inventory under certain conditions, the San Antonio Express-News reports. The company may sell assets worth less than $25,000 without notice and those worth between $25,000 and $100,000 with notice, but it must seek court approval before selling assets worth more than $100,000, the newspaper reports. The power wheelchair and scooter provider filed for bankruptcy in April in the wake of a federal raid on its headquarters...

NEW BRAUNFELS, Texas - Being shut out from Rounds 1 and 2 of competitive bidding was the last straw for the nation's largest mobility provider.The Scooter Store announced last week that CMS's decision to terminate its contracts for Round 1 and exclude the provider from Round 2 “effectively eliminated the company's ability to consummate a sale out of its Chapter 11 bankruptcy case,” forcing it to close.“They built a big house, but it turned out to be made of cards,” said Bob...

YARMOUTH, Maine - With three high-profile HME providers now moving through the bankruptcy process, should it come as a surprise that manufacturers are trying to protect themselves by tightening their payment terms?Providers who responded to a recent HME NewsPoll say the days of 90-day payment terms are long gone. Instead, they say they're lucky to get 60 days and, in some cases, they're getting 45 days or less.Manufacturers declined to provide specific payment terms to HME News—“We haven't...